Senior FX Analyst of Plutus FX Steven Woodcock suggests the GBP/USD, USD/JPY and EUR/GBP outlook
GBP/USD – no apparent direction of price
According to Woodcock, he sees no clear direction of price in the USD/GBP, however keeps a hitch bias on the cross. Furthermore, he explains the reaction of the cross to moves in GBP/EUR, and anticipates a break from its 1.56 – 1.55 range, to fix on the next leg for the pair.
CAD/GBP, JPY/GBP: Ambushed
As seen by Woodcock, the GBP crosses rapped on the upper-end of their rallies. Moreover, he expects JPY/GPB to move higher after he saw several pullbacks.
GBP/EUR seeing a small bid
Long-term prediction over GBP/EUR is to continue downtrend, however several near-term offers may be seen in the cross while EUR deals firm. According to Woodcock, the cross has notices a jump as it held the support area about 0.6940. Many cross play is perceived because of the EUR, and GBP/EUR may be in for some benefits. A shift towards 0.7650 may be on the cards as well. Currently, the pair continues to be in a consolidative phase.
JPY/USD: Purchase any pullbacks
With JPY/USD, Woodcock sees a turnover and a probable pullback towards 122-122.50 area and even a level of 118. JPY/USD bulls require a shift beyond 124.50, with sellers only beyond the 124.00 level. Basically, Yen will still be weak, thus Woodcock seems to purchase any pullbacks on the cross. 140 stands will be the long-term target for the cross.
In the recent Forex Forecast, Woodcock continues to offer his viewpoint on USD/GBP, and shares more of his strategy to trade the flat details in the charts.
Markets waiting for additional guidance
Woodcock notes that there’s no actual guidance provided yesterday from Yellen and markets are waiting for some tangible guidance. He comments on trading how the past Fibonacci trade has transformed and markets have developed to a different kind of traded, greatly because of retail players along with additional emphasis on “numbers” instead of the “areas”.
Furthermore, he adds that markets are participating on the range game as of the moment.
USD/GBP: Searching for more weakness
Woodcock tells how he was able to maintain a sell call on cable last week, and he keeps on the bearish side for the cross. On the hitch, he keeps a 1.45 downside target, now with the pair trading at the lower end of its range and awaiting for a lower break.
Rastani keeps a long bias on GBP/EUR, with the cross being broken out of a flag on the previous day. When it comes to this, Woodcock gives an explanation on his Forex strategy to deal the patterns of the flag breaks.
The viewpoint for the FX space is also shared by Steven Woodcock and was able to mention that the markets operated in the data direction, however moves have not be as rapid compared before.
USD/GBP: Carney’s Kiss of Death
USD/GBP continues to trade heavy, GBP/EUR was able to handle to move around 0.70 which is maintaining the pressure on cable. The cross to plunge towards 1.5250 is expected to see by Woodcock. Mir also mentions the comments of Carney can be the reason of the downside move of the USD/GBP. Woodcock provides an explanation about how the Bank of England fails to do what it should do; still the forward guidance is on shambles.
NZD/AUD: notices downside possibility towards 1.09
The commodities continued to be under pressure and the KIWI is done with it. Aussie has moved back to its weak point. The NZD/AUD might go lower toward 1.09 area based on Woodcock forecasts. Both the NZD and AUD are set to weaken however the Aussie may be in for more weak point.